Tiangong International (00826): Zhenjiang Qianyuan plans to transfer 1.76% of its shares in Tiangong Tools to Tiangong New Materials at a cost of 180 million yuan

According to Zhitong Finance App, Tiangong International (00826) announced that on December 28, 2020, Tiangong Tools, Tiangong New Materials, Tiangong Hong Kong, and other Tiangong parties and investors (including Zhenjiang Qianyuan and Jinshi New Materials Fund) signed investment agreements. Based on this, Zhenjiang Qianyuan and Jinshi New Materials Fund purchased a total registered capital of RMB 138 million, which is equivalent to about 5.29% of Tiangong Tool's shares at the time.

Given that Zhenjiang Qianyuan and Jinshi New Materials Fund already intend to withdraw, and after considering their long-term investment in Tiangong Tools, reducing current financing costs, and opportunities to simplify Tiangong Tool's equity structure, with the consent of all parties, the Company agreed to carry out this equity transfer at an annual interest rate of 4%.

With the consent of all parties, on January 7, 2026,

(1) Zhenjiang Qianyuan, Tiangong New Materials, Tiangong Hong Kong, the Company, Tiangong Precision and Tiangong Tools entered into a Zhenjiang Qianyuan equity transfer agreement. According to this, Zhenjiang Qianyuan (as the seller) will transfer 1.76% of its shares in Tiangong Tools to Tiangong New Materials (as the buyer) at a cost of RMB 180 million; and

(2) Jinshi New Materials Fund, Tiangong New Materials, Tiangong Hong Kong, the Company, Tiangong Precision and Tiangong Tools entered into an equity transfer agreement for the Jinshi New Materials Fund. According to this, Jinshi New Materials Fund (as the seller) will transfer 3.53% of its shares in Tiangong Tools to Tiangong New Materials (as the buyer) at a cost of RMB 365 million.

Currently, financing costs have been reduced, and in order to simplify the equity structure of Tiangong Tools, the Company has agreed to the relevant share transfer matters. Therefore, the Group has entered into an equity transfer agreement with the relevant investors planning to sell Tiangong Tools shares (in the case of this share transfer, that is, Zhenjiang Qianyuan and Jinshi New Materials Fund) to transfer the shares of Tiangong Tools held by the investors concerned to the Group.